The time for you to apply for Medicare is approaching and you have been told that you will also need to apply for Medicare supplement insurance. What is it and why exactly do you need it? When you get to the age of 65, you will be required to apply for Medicare, which allows you to receive free medical care as a senior. When many people hear the words free medical care they assume that the government pays for everything. This is not the case. You’ll receive free medical care but only to a certain extent.
Hypothetical Scenario
Imagine, for example, that you have to go to the hospital, and by the time you leave, you have a bill of $20,000. The government will take care of about 80% of the bill leaving the rest to you – $4,000.
This is a very significant amount when you consider that you are no longer earning but are relying on your retirement funds. This is where medical supplement insurance comes in. Instead of dealing with these supplemental amounts, you take out an insurance policy so that the insurance company can pay anything that isn’t covered by Medicare. When some people apply for Medicare, they neglect to apply for supplemental insurance only to realize when they are hit with their first bill that they really need it.
There is a fixed period that is recommended for application for Medicare supplement insurance. During this period insurance companies will not look at pre-existing conditions — they’ll have to sell you insurance regardless of your current state of health. This means that premiums are affordable. If you let this period lapse, you may have a hard time getting an affordable policy of you have a pre-existing condition and insurance companies may even reject you.
Choose a Carrier with Good Customer Service
There are many companies that sell Medicare supplemental insurance but you shouldn’t choose the first one that you come across. Keep in mind that these companies also solicit seniors, so don’t be duped by people who come knocking on your door. You should think carefully about your medical needs and your finances – whatever package you take out should be affordable and it should take care of your medical needs. Choose companies that make it easy for seniors to deal with claims. If you find an insurance company has poor customer service, it is likely that when it comes to paying a claim the service will be even worse.
